Summary Of IC Markets
IC Markets is considered the best forex broker for experienced traders based on their:
- Tight Spreads
- Fast trading execution speeds
- 500:1 Leverage
- Low initial deposit requirement
- Promotional Offers
- Reputation and Australian regulation
IC Markets Spreads And Fees
There are two main trading accounts that offer the most popular forex trading platform – MetaTrader 4 & 5.
1) Standard Account
The IC Markets standard account has no commissions but large spreads. These standard accounts are positioned for beginner forex traders looking to easily calculate their foreign exchange brokerage costs.
Some example spreads using the standard account are:
- EUR USD = 1.1 pips
- AUD USD = 1.2 pips
- GBP USD = 1.4 pips
- EUR AUD = 1.5 pips
2) True ECN Account
IC Markets offers an Electronic Communication Network which allows expert traders to trade directly with liquidity providers. Using a Financial Information Exchange Protocol, the True ECN account matches and executes currency orders with over 50 liquidity providers. Spreads are therefore set by the market and commissions are charged allowing IC Markets to make brokerage fees. Commissions are $3.50 per lot with True ECN account average spreads on average:
- EUR USD = 0.1 pips
- AUD USD = 0.2 pips
- GBP USD = 0.4 pips
- EUR AUD = 0.5 pips
3) cTrader ECN Trading Account
This account is almost identical to the True ECN trading account but offers the cTrader platform. The server location used using Equinix servers are London which is ideal for cTrader currency trading. The cTrader platform ECN account takes sizes from 1 micro lot to 250 lots spreading trades across over 50 different liquidity providers.
Key advantage of the cTrader platform are:
- Automated trading using C# Programming Language
- $3.0 commissions per lot
- Enhanced charting
The average spread is similar to the standard True ECN Account.
There is also an Islamic account for those who require a swap free environment. All accounts have a minimum deposit of $200 AUD.
Summary Of The IC Markets Review Of Spreads And Commissions
When it comes to the lowest spreads and commissions in Australia, most forex traders will make an IC Markets vs Pepperstone vs AxiTrader vs IG Markets comparison. The truth is with the ECN trading accounts offered have near identical spreads and fees and infrastructure. Experienced traders looking for a low cost trader will be happy with either fx broker. No commission accounts such as easyMarkets have wider spreads but offer extra risk management features making them worthwhile consideration for beginner traders
How IC Markets Technology Gives Traders The Edge
Execution Speeds That Average 40ms
IC Markets leverages the best technology to maximise clients execution speeds. This includes a dedicated fibre optic cable to interconnect Australia traders to liquidity providers. Latency is also reduced by having the fastest servers located near the main trading centres. Owned by Equinix these servers are close to the exchanges latency has been recorded as low as 1 millisecond.
The two Equinix servers are located in:
- New York (NY4) for MetaTrader forex trading account holder
- London (NY5) for cTrader forex trading account holders
Enhanced Trading Tools
IC Markets has partnered with technology providers to achieved enhanced trading tools including:
- Depth of Market
- Inbuilt spread monitoring
- Ladder trading
- Automated close of trades
Below shows a list of just some of the advanced trading tools offered by IC Markets as enhancements to the forex trading platforms offered.
Automation Through Expert Advisors
Combining fast execution speeds with the MetaTrader forex trading platform allows for advanced automation. This is achieved through expert advisors where trading application can be made or purchased. These expert advisors applications require low latency environments which is where IC Markets excel in. Below shows an example expert advisors marketplace where different 2019 applications can be created.
Summary Of The IC Markets Review Of Technology
Experienced traders who are familiar with slippage caused by slow forex brokers understand the need for the best infrastructure available. IC Markets have utilised premium technology providers to maximise execution speeds and advanced features to navigate currency markets. This is why the fx broker was awarded the best forex broker in this category.
What Is The Maximum Leverage Available?
IC Markets are the best forex broker when it comes to leverage. As shown on several forex broker comparison tables, the leverage of 500:1 is only offered by a handful of Australia’s best forex brokers. This leverage give flexibility in a range of trading conditions.
Only experienced traders should use the full allocation of 500:1 leverage due to the high risk involved. It may lead to significant gains if the currency pairing is predicted correctly, it can also lead to significant losses. Also, as brokers like IC Markets don’t use trading desks, they don’t offer guaranteed stops. This means that losses may exceed even the amount deposited in extreme volatility so high leverage should be avoided for beginners. For guaranteed stops have a look at our IC Markets vs easyMarkets broker review.
An example of how leverage of 500:1 works in simple terms is for every dollar you deposit you can trade up to $500 on forex markets. So a $250 deposit can lead to $125k being traded. With such high leverage any relatively small movement in the market can lead to large losses or gains. For example, a 0.1% change in currency paring in the prior example would lead to a $125 gain or loss (which is 50% of the deposit). While leverage is critical for any Australian forex trader the best forex broker level should match your experience level and factored into this IC Markets broker review.
What Forex Platforms Does IC Markets Offer?
IC Markets offers the ‘top 3’ forex trading platforms when it comes to popularity with enhancements available. These include advanced trading tools, API trading, VPN and trading servers. It’s this features combined with choice that made our IC Markets review award the fx broker the top score.
1) MetaTrader 4
MetaTrader 4 (MT4) is the most popular and awarded forex trading platform worldwide. It’s popularity can be attributed towards it’s easy of use. While not the most attractive interface it is feature rich and allows fast execution speeds. It also offers expert advisors (EAs) which allows for automation. There is an online marketplace where automated systems can be traded.
MT4 excels in mobile trading with both MetaTrader android and MetaTrader iPhone/iPad application. There is also a MetaTrader for Apple Mac application which provides the full functionality of MT4 for apple users. The Apple mac application requires Mac OS X 10.x and above.
There is also the MetaTrader webtrader which allows trading on-the-go for those that don’t want to download any application onto their PC or mobile device.
2) MetaTrader 5
MetaTrader 5 (MT5) is similar to MT4 with some enhancements for those looking to trader more than currency. This can include trading CFDs like bitcoin trading or buying and selling shares. Features include advanced charting and order management tools. Below compares MetaTrader 5 to MT4.
|MetaTrader 4||MetaTrader 5|
|Supported Markets||Forex||Forex / Futures /|
Options / Stocks / Bonds
|Strategy Tester||Single Thread||Multi-threaded|
+ Real ticks
|Depth of Market||No||Yes|
|Order Fill Policy||Fill or Kill||Fill or Kill|
Immediate or Cancel
|Partial Order Filling Policies||No||Yes|
|Pending Order Types||4||6|
|Partial Order Filling Policies||No||Yes|
The third forex platform option is cTrader which is the preferred option of many advanced traders. IC Markets has a cTrader account specifically designed for this platform. It allows fast execution speeds across financial services. Spreads start at zero through their ECN broker account option.
Key advantages include multi-bank liquidity across 16 equity indices and 64 currency pairs including AUD, NZD, USD, GBP and EUR. Like for the MT4 platform it has an android application, iPhone/Tablet application and allows for mobile trading through their web-based platform.
IC Markets Review Of Promotional Offers
Unfortunately, at this time IC Markets does not offer a promotional bonus. We’ve often seen Forex companies phase promos in and out and will update the data here in our IC Markets review and also in our comparison tables as soon as we notice any incentives the company might offer.
IC Markets was founded in Australia in 2007 by expert traders who were hell bent on creating a trading experience for retail traders. The platform they wanted to design was to be just as professional and state of the art as the systems used by banks and financial institutions. In our detailed IC Markets review below, we highlight what makes the locally regulated company, trading as International Capital Markets Pty. Ltd. so popular.
Our IC Markets review found the company was Australia’s best forex broker based on their market leading leverage and trading speed. They also have low spreads and fees and are regulated in Australia. Our team found that key information is very easy to find on their site and we received no unpleasant surprises when we analysed the company closely. The company have offices onshore in Sydney, Australia and all the services they offer are what traders should expect from today’s modern Forex brokers. They have also recently invested in building out their Forex education and training platforms to aid trader development. They also boast expert trading tools, a fantastic demo account and no dealing desk.
Other Elements Of The IC Markets Review
IC Markets Offers cTrader and MetaTrader Demo Accounts
Those new to currency trading or to either cTrader, MT4 or the MT5 forex platform may require a demo account to experience forex trading without using real money. This is ideal to also simulate trading conditions both current and historic. Our IC Markets review found that all account types and products were offered in the demo account format providing a number of benefits.
Risk Free Trading
The demo account is 100% risk free with no requirement to make a deposit with IC Markets.
Trading with a demo account mirrors the live markets and allows individuals to familiarise the forex trading platform. Trades can learn how to determine the size of trades, learn how to make and close positions and use advanced features such as stop-loss and take profit. Different strategies can be tested and automated bots can also be simulated to see how they would perform in the real market
The IC Markets review also found them to be the best forex broker when it came to customer support for demo account holders. Some other foreign exchange brokers only offered support to live account holders.
Simulate A Training Journal
As a demo account is a learning tool, traders can keep a journal to understand the weaknesses and mistakes they are making prior to moving to a live account. Individuals should start with a deposit and leverage that will align to their plans on the live account.
It should be noted that another key strength of the IC Markets demo account is the account doesn’t expire. This can be critical as traders often go back to demo accounts to test elements over time.
Easy Transition To Live Trading
Once a forex trader is ready to transition to a live account IC Markets allows a deposit of just $200. Leverage can also be limited by request to limit exposure to the market. This are some suggested steps for making the transition from demo accounts to live accounts.
IC Markets Regulation
IC markets is regulated by the Australian Securities and Investments Commission (ASIC). They hold the AFSL licence number 335692. Australian traders should only consider ASIC forex brokers for peace of mind. You can see further information on myfxbook.
Deposit and Withdrawal Methods
There are a number of payment methods including using a credit card, neteller, wire transfer, paypal, debit cards and through a bank transfer. The withdrawal methods needs to match the deposit. For example, funds can only be deposited back to the debit card initially used. bPay and webmoney are two further payment methods.
About Compare Forex Brokers
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